Achieving flexible and sustainable energy systems

Size: px
Start display at page:

Download "Achieving flexible and sustainable energy systems"

Transcription

1 Downloaded from orbit.dtu.dk on: Dec 27, 2018 Achieving flexible and sustainable energy systems Skytte, Klaus Publication date: 2018 Document Version Peer reviewed version Link back to DTU Orbit Citation (APA): Skytte, K. (Author). (2018). Achieving flexible and sustainable energy systems. Sound/Visual production (digital) General rights Copyright and moral rights for the publications made accessible in the public portal are retained by the authors and/or other copyright owners and it is a condition of accessing publications that users recognise and abide by the legal requirements associated with these rights. Users may download and print one copy of any publication from the public portal for the purpose of private study or research. You may not further distribute the material or use it for any profit-making activity or commercial gain You may freely distribute the URL identifying the publication in the public portal If you believe that this document breaches copyright please contact us providing details, and we will remove access to the work immediately and investigate your claim.

2 Achieving flexible and sustainable energy systems Klaus Skytte Energy Economics and Regulation DTU Management Engineering, Denmark

3 DTU Management Engineering Systems Analysis division Energy Systems Analysis (ESY) Global and regional energy system optimisation models (all sectors) Integration of intermittent renewables in energy systems GIS prepossessing tools Quantitative scenario analysis Poul Erik Morthorst Kenneth Karlsson Energy Economics and Regulation (EER) Analyses of regulatory frameworks and market designs that facilitate the transition towards larger share of renewable energy in the energy system, energy savings, and climate change Policy analysis and economic assessment Economic and social aspects of wind integration, coupling of markets, and flexibility options Demand behaviour based on technical/economic or econometric models Climate Change and Sustainable Development Modelling of climate Change mitigation, renewable energy, and smart cities; Decision making tools for climate change impacts and adaptation Transport Economics Klaus Skytte Simon Bolwig Sister departments Ninette Pilgaard

4 Technical 3 University of Denmark REPLI - DTU Renewable Energy Policy, Planning and Integration Advice Scientific advice within energy Scientific advice An integral part of Danish universities portfolio of activities 1/5 of DTU s staff are involved with scientific advice DTU is #2 in the world and #1 among the European universities in the category Energy Science and Engineering on the Academic Ranking of World Universities 2016 (Shanghai Jiao University) We have the expertise and the infrastructure. Goal The Sustainable Development Goal nr. 7. Means Collaboration between universities, companies, authorities and international organizations better technology and analysis methods within the energy sector.

5 Why advice on sustainable energy from DTU? REPLI provides research based advisory services and capacity building within integration of intermittent renewable energy sources. Our advisory services range from technology choices to policy advice and implementation.

6 The Kingdom of the Winds Wind share in Danish annual electricity consumption 45.8% 23 December 2017: 1 hour with 139% 25 December 2017: 1 day with average of 109% Political target 2050: The total energy supply based on renewable energy incl. heat, gas, transport, industry, etc. District heating: 50% share of total heat supply, with 69% CHP and <1% P2H

7 Flexibility Resources Finding ramping capabilities Supply flexibility Demand responds

8 Flexibility Resources Finding ramping capabilities Supply flexibility Sector coupling/ Electrification Demand responds

9 Sector coupling Electrification as source of flexibility Framework conditions Distribution of EU energy consumption (Source: EU Heating and Cooling strategy) Market design Direct regulation Fiscal policies Support schemes Grid regulation Large flexibility potentials in electrification of the energy sectors Hindered by regulatory barriers Remove barriers

10 Better Policies Accelerate Clean Energy Transition Insufficient market signals and uneven frameworks for different renewable energy resources limit flexibility Revise tariffs, taxation, and subsidies in Nordic-Baltic countries to increase flexibility Seven policy recommendations: R1: Create a level playing field for all RES across sectors through consistent fiscal policies; R2: Implement electricity grid tariffs which allow market signals for flexibility to reach the endusers; R3: Dynamic taxation of electricity (e.g. restructuring levies and taxes); R4: Encourage VRE operators to act flexibly using short-term market-based incentives; R5: Abolish RES support during negative price periods; R6: Enhance electrification by removing the limitations on using electricity for heating; R7: Tackle investment risks in flexible individual heating through new financing and private ownership models.

11 Unlocking flexible and sustainable energy systems Both technology deployment and regulatory changes Coherent changes in market designs, regulatory framework condition, and coupling of markets Make the sector coupling/electrification as flexible as possible Remove barriers Improve the business case for flexible power-to-heat/gas technologies Increase market integration and the value of VRE